Question

For the following terms find the correct definition below and place the letter of that response in the blank space next to the term. Each definition is used only once. A control procedure that reduces to practically zero the risk of an A. Val IT undetected error or irregularity B. detective controls A process whereby management identifies possible events that C. fidelity bond represent a problem to the firm and then identifies appropriate responses to those problems D. internal control E risk matrix The purpose of this framework is to achieve effective governance of IT E separation of duties Examples of this type of control are: log monitoring and review, G. corporate governance system audits, file Integrity checkers, and motion detection H. preventive controls Reaffirms that management is responsible for an adequate internal L. COBIT control structure J. control environment Includes a combination of manual and automated controls - such as approvals, authorizations, verifications, reconciliations, reviews of K corrective controls operating performance, and segregation of duties L scenario planning The purpose of this control is to reduce the risk of loss caused by M. SOX, Section 404 employee theft N. control activities The purpose of this procedure is to classify each potential risk by O ideal control mitigation cost and also by likelihood of occurrence An example of this type of control is a firewall to prevent unauthorized access to the company's network A framework for IT governance Establishes the tone of a company and influences the control awareness of the company's employees An example of this control is to assign these three functions to different employees: authorizing transactions, recording transactions, and maintaining custody of assets Managing an organization in a fair, transparent and accountable manner to protect the interests of all the stakeholder groups The policies, plans, and procedures management uses to protect company assets An example of this type of control is a change to the company's procedures for creating backup copies of important business files v

Answer 1

1. O - Ideal Control

2. L - Scenario Planning

3. A - Val IT

4. B - Detective Control

5. M - SOX, Section 404

6. N - Control Activities

7. C - Fidelity Bond

8. E - Risk Matrix

9. H - Preventive Control

10. I - COBIT

11. J - Control Environment

12. F - Seperation of duties

13. G - Corporate Governance

14. D - Internal Control

15. K - Corrective Control